By Fatou Sillah
The Gambia government has earmarked D1 billion in its proposed 2027 national budget to subsidize electricity tariffs, as the country grapples with persistent power outages and mounting challenges in the energy sector.
The allocation was announced by the Minister of Finance and Economic Affairs on Friday during his presentation of the 2027 budget before the National Assembly.
According to the minister, the government spent D2.4 billion on electricity subsidies in 2025 and allocated another D1 billion to the sector in 2026, of which D500 million has so far been disbursed. The sector also received $13 million in support from the World Bank Group.
The proposed D1 billion allocation for 2027 is intended to compensate for electricity tariffs as the government seeks to stabilize the country’s power supply.
Addressing the ongoing electricity crisis, the minister said President Adama Barrow had acknowledged the economic and social toll of frequent power outages, particularly on households and businesses, and reaffirmed his administration’s commitment to finding a lasting solution.
“He has established a task force headed by the vice president to address the current electricity crisis that the country is witnessing,” the minister said.
He explained that the government was exploring several measures to stabilize electricity supply, including increasing power imports from neighboring countries such as Guinea, Senegal, and Côte d’Ivoire.
“Furthermore, the Government is working hard to improve on domestic generating capacity in order to address the issue of national energy security,” he said.
Beyond the energy sector, the minister said the 2027 budget was designed to advance national development priorities while maintaining fiscal discipline and limiting public debt risks.
He said the government was targeting an overall fiscal deficit of 1 percent of gross domestic product across all funds and 0.05 percent for government local funds, as part of its broader fiscal consolidation efforts.
Despite the emphasis on spending restraint, the minister said the government would continue to safeguard poverty-related expenditures and other priority investments aimed at supporting economic development and improving living standards.
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